Stock and oil ride high on Biden transition and vaccine hopes by Raiden


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© Reuters. TV camera men wait for the market to open in front of a large screen showing stock prices at the Tokyo Stock Exchange in Tokyo

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By Lawrence White and Julie Zhu

LONDON / HONG KONG (Reuters) – Stock, oil and risk currencies gained on Tuesday as a formal move for US presidential-election Joe Biden, given his transition to Kovid-19 vaccines already boosted in November Burned.

European markets tracked gains in Asian and US equities, with the broad-based index opening 0.8% and climbing to its highest level of $ 46.38 a barrel since March. The property of safe haven such as gold fell.

After legal challenges of weeks of the election results, the US general leading Emily Murphy Services Administration might be Monday began formal hand-process that informed in a letter to Biden.

President Donald Trump tweeted that he had told his team “what needs to be done regarding the initial protocol”, a sign he was heading towards a transition.

Emanuel Kau, head of European equities, said, “Markets have been encroaching for weeks on account of uncertainty in vaccines on and around the American political front, so investors are likely to return to normal in 2021 as those two people leave. Are considering Strategy on Barclays (London :).

Biden’s plan to nominate the next Federation Reserve chairman, Janet Yellen, to be the next Treasury Secretary, pushed American stock forward in hopes that it would pursue more traditional policies than outgoing Steven Menuchin.

Futures rose to 1.2% in early European trading hours and later put on the 49-country MSCI World Stock Index to set a new record.

Jumped 2.5% to its highest level since May 1991, outpacing energy, real estate and financial stocks.

Outside Japan, Asia-Pacific shares had ticked up by 0.4%. Australia’s 1.26% was strong, touching its highest level in nearly nine months, moving the pack with energy stocks.

Seoul’s Kospi was up 0.6% as Hong Kong rose 0.4%. However, China blue-chips were an outlier, down 0.6%, as investors reported profits after recent strong gains.

(Graphic: November global market enjoy secret https://fingfx.thomsonreuters.com/gfx/mkt/azgpozyqgvd/24-11%20assets.jpg)

Some analysts say that a Biden presidency, which could mean more negotiating rooms for Washington and Beijing, would not make a big difference to China’s equity market, as they expected little change in broader US policy toward China. Were.

The progress made on COVID-19 vaccines, which decimated Wall Street overnight, helped to keep the risk low for the global economy, along with fostering optimism about rapid revival.

AstraZeneca (NASDAQ 🙂 and Oxford University said on Monday that their COVID-19 vaccine, which is cheaper to make, is easier to deliver and can be massively 90% effective than its rivals.

At risk

The New Zealand dollar was among those receiving currency gains, which rose by 0.9% to a two-year high of $ 0.6985 as the central bank said a storm came at higher prices this year, which could add to its inflation basket. is.

The euro was again heading towards $ 1.19 and tracks the greenback against a basket of six major rivals, reaching as low as 92.235.

Since live vaccine on expectations March Koronovayrs as went not seen an increase in the level of oil in March rapidly spread and the demand went down.

This month Brent crude futures climbed 45 cents or 1% to 46.51 dollars a barrel, while US West Texas is 46 cents or dollar rose 1.1 percent to 43.52 Intermediate crude.

“Progress on developing the vaccine and normalizing the way to get back into the oil markets,” said Stephen Ines, head of financial services firm Axi, a global market strategist.

In bond markets, the yield on 10-year notes increased slightly to 0.87%, as on most European government bonds. Germany’s 10-year yield was 1 basis point -0.57% in early trade.

Gold also lost its luster, falling to $ 1,826.3 an ounce, which has now fallen by 10% this month.

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